Monday 13 May 2013 15.51 EDT
First published on Monday 13 May 2013 15.51 EDT

Roberto Mancini was on Monday night allowed to limp on as Manchester City manager, with the club heading towards their dreaded scenario of him taking charge of the team for Tuesday evening's match at Reading as a virtual dead man walking.

Although City are in advanced discussions with Málaga's Manuel Pellegrini regarding a deal to replace the Italian, Mancini was contemplating waking on Tuesday morning still in his job, with City having not issued any statement since the reports on Friday of their firm interest in the Chilean.

While it was thought Mancini would be sacked before the trip to the Madejski Stadium, it is understood that the Abu Dhabi executives were still considering the best strategy, with one option being to allow him to continue to the last match of the season, Sunday's visit of Norwich City.

Before the club's pursuit of Pellegrini emerged, the plan was for Mancini to end the season and then have a review in the emirate. This would be led by Khaldoon al-Mubarak, the chairman, and include the chief executive, Ferran Soriano, and Txiki Begiristain, the director of football.

Mubarak and his team were intent that if it were decided at this point to let Mancini go, there should be a candidate in place who had agreed terms and would be ready to takeover instantly to prepare for City's summer tour to the United States.

This was the strategy under which Pellegrini was approached, and although on Monday morning the Chilean denied he had reached an agreement, discussions between City and his agent, Jesús Martínez, regarding financial terms and contractual clauses are at the stage where a deal is ready to be signed.

morning Pellegrini said: "I have an agreement with Málaga not to talk to anyone and nothing has been agreed with any other outfit. Nothing has been signed and no agreement reached. I've been fortunate enough, and very proud, that every year the big clubs are interested in me. I hope the future of this club will become somewhat clearer in the next few days."

With regard to Mancini's position being all but untenable, City were in precisely the same position when he became manager in 2009. Then, it was common knowledge that he would supersede the incumbent, Mark Hughes, as the Welshman took charge of the club's match with Sunderland on 19 December. Following a 4-3 win, Hughes was sacked.

Despite the unedifying nature of this episode, City believe they acted correctly because they took the time to sit Hughes down and relieve him of his position in the proper manner, face-to-face.

With City falling silent on Monday regarding Mancini's future, the manager took training at Queens Park Rangers' Loftus Road ground ahead of the club's penultimate Premier League game.

Mancini was spotted leaving City's central London hotel at various times following training but by late on Monday night there had been no word from the Italian or the club.

This heightened the sense that if his spell in charge was not ended before Tuesday's 8pm kick-off at Reading, Mancini would lead the team there. Then, he would have to face a post-game press conference in which he would cut an isolated figure and have to deal with persistent questioning about his future.

Mancini's position grew more precarious once reports in Spain emerged on the eve of City's FA Cup final defeat by Wigan Athletic at Wembley on Saturday of discussions between the club and Pellegrini's representative, and by the following day it became clear that the hierarchy had lost all confidence in him.

After leading City to a first championship in 44 years last season, Mancini signed a five-year contract worth at least £35m but this season's dismal campaign has convinced the board he was no longer the man to lead the club.

An unconvincing title defence, which was virtually over by mid-February, the bottom-placed finish in City's Champions League group, Mancini's constant complaining about last summer's transfer buys and the inability to claim a trophy despite costly investment in the squad, plus the alienating of some of his own staff, were all telling factors in the club's decision to approach Pellegrini.

City were attracted to the Chilean because of his impressive stewarding of Málaga, Villarreal and Real Madrid, where he finished second with 96 points, and his personable manner.

By all accounts, Pellegrini is a players' manager, described as more humble than Mancini and possessing the ability to man-manage millionaire players to keep them onside and coax winning displays from them.